IBC
Supreme Court Sets Aside NCLAT Order Which Closed Insolvency Process Against Byju's Based On Settlement With BCCI
The Supreme Court today (October 23) set aside the order of the National Company Law Appellate Tribunal which closed the insolvency proceedings against ed-tech company Byju's (Think and Learn Pvt Ltd) accepting a settlement between it and the Board of Control for Cricket in India (BCCI) for about Rs 158 crores.The Court held that the NCLAT erred in allowing the withdrawal of the insolvency application by invoking its inherent powers under Rule 11 of the NCLAT Rules 2016. When there is a specific...
NCLAT Upholds Central Govt's Takeover Of Delhi Gymkhana Club Over Allegations Of Mismanagement
The NCLAT bench of Justice Ashok Bhushan (Chairperson) and Arun Baroka (Technical Member) has upheld the NCLT's order which allowed the Central Government to take over the management of the Delhi Gymkhana Club, and directed the existing committee to take remedial steps and hold the election. The NCLAT held that Union of India's intervention in the affairs of the Delhi Gymkhana Club, which resulted in the erstwhile management of the Club being superseded by a 15-member general committee...
Date Of Default Occurring Within Prohibited Period U/S 10A Of IBC Can't Be Shifted By Sending Notice After Prohibited Period For Same Debt: NCLT Mumbai
The National Company Law Tribunal, Mumbai Bench of Hon'ble Shri K. R. Saji kumar, (Judicial Member) Hon'ble Shri Sanjiv Dutt, (Technical Member) held that the date of default occurring within the prohibited period cannot be shifted merely because a notice for payment is issued again after the end of such prohibited period.Brief FactsREC Limited, financial creditor, filed a petition under section 7 of the IBC against Global Metal & Energy Private Limited, the corporate debtor. The petition...
Expressions Of Interest Submitted After CIRP Due Date Cannot Be Considered: NCLT Mumbai
The National Company Law Tribunal, Mumbai Bench of Shri Kuldip Kumar Kareer (Judicial Member) and Shri Anil Raj Chellan (Technical Member) held that no Expressions of Interest (EOIs) can be considered if they are submitted after the due date as provided under regulation 36A of the CIRP Regulations.Brief FactsM/s. Jogeshwari Breweries Pvt. Ltd. (the Corporate Debtor) was admitted into insolvency on a petition filed under section 9 of the Insolvency and Bankruptcy Code (IBC) on February 9, 2024....
Third Party Cannot Be Allowed To Participate In Pre-Admission Stage Of Petition U/S 7 Of IBC: NCLT Mumbai
The National Company Law Tribunal, Mumbai Bench of justice of Shri Kuldip Kumar Kareer (Judicial Member) and Shri Anil Raj Chellan (Technical Member) held that no third party can be allowed to participate in the pre admission stage of a petition under section 7 of the Insolvency and Bankruptcy Code (IBC).Brief FactsThis application under section 60 of the IBC was filed by Vijayalaxmi Developers,the petitioners. They sought to intervene in the matter already pending under section 7 of the IBC...
Monthly Digest of IBC Cases: September 2024
Supreme CourtStakeholders Consultation Committee's Advice Not Binding On Liquidator: Supreme CourtCase Title: V.S. Palanivel v. P. Sriram CS Liquidator etc, Civil Appeal Nos. 9059-9061 of 2022 Citation: 2024 LiveLaw (SC) 662The Supreme Court clarified that the advice offered by the Stakeholders Consultation Committee (SCC) constituted in liquidation proceedings is not binding on the Liquidator. IBC| Timeline To Pay Balance Sale Consideration By Auction Purchaser In Liquidation Proceedings...
Weekly Digest Of IBC Cases: October 7th To October 13th, 2024
Nominal Index Mr. Vikash Gautamchand Jain RP of Kethos Tiles Pvt. Ltd., Company Appeal (AT) (Insolvency) No. 1173 of 2024 & I.A. No. 4190, 4191 of 2024 with Company Appeal (AT) (Insolvency) No. 1323 of 2024 Vantage Point Asset Management Pte. vs. Ashish Arjunkumar Rathi & Anr., Company Appeal (AT) (Insolvency) No. 1619 & 1620 of 2024 with Company Appeal (AT) (Insolvency) No. 1621 & 1622 of 2024 with Company Appeal (AT) (Insolvency) No. 1696 & 1697 of 2024 Mr. Paresh Parekh...
Weekly Digest Of IBC Cases: 1st October To 7th October 2024
Nominal Index 1. Tushar Sharma v. State Bank of India, Cr. MMO No. 924 of 2023 2. Gateway Investment Management Services Ltd. v. Reserve Bank of India and Ors., 2024 LiveLaw (Del) 1092 3. Su-Kam Power System Ltd. and Anr. v. State of Himachal Pradesh and Ors., CWP No.422 of 2024 4. M/S Patanjali Foods Limited (Formerly Ruchi Soya Industries Limited) v. Commissioner of Customs, CSTA No. 4 of 2024 5. Gujarat Urja Vikas Nigam Limited v. Mr. Udayraj...
Any Claims Assessed After Liquidation Commencement Date Cannot Be Accepted By Liquidator: NCLAT New Delhi
The National Company Law Appellate Tribunal (NCLAT), Principal Bench, New Delhi, comprising Mr. Justice Ashok Bhushan (Chairperson), Mr. Barun Mitra (Technical Member) and Mr. Arun Baroka (Technical Member), held that when the claim has to be filed on the liquidation commencement date any claims subsequent including any on the basis of assessment subsequent to the liquidation commencement date cannot be given any credence by the liquidator.Brief FactsThe corporate debtor was ordered to be...
NCLAT Delhi Closes CIRP Against Jaypee Healthcare Ltd After Full Settlement Of Financial Creditors' Claims
The National Company Law Appellate Tribunal (NCLAT), New Delhi bench comprising Justice Ashok Bhushan (Chairperson), Barun Mitra (Technical Member), and Arun Baroka (Technical Member) has set aside the Corporate Insolvency Resolution Process (CIRP) initiated against Jaypee Healthcare Limited after the settlement amount was disbursed to financial creditors.The appeals were filed against orders passed by the National Company Law Tribunal (NCLT), Allahabad Bench, which initiated the CIRP against...
'Breaches Discipline Of Law Laid Down In IBC' : Supreme Court Disapproves Of HC Deferring CIRP Under Article 226
The Supreme Court recently took exception to the Telangana High Court ordering the deferring of the Corporate Insolvency Resolution Process in the exercise of powers under Article 226 of the Constitution.The Bench of Chief Justice of India DY Chandrachud , Justice J.B. Pardiwala and Justice Manoj Misra, held that the High Court was not justified in deferring the Corporate Insolvency Resolution Process (CIRP) when the main relief sought in the writ petition uto consolidate the CIRP of two...
Litigant Who Does Not Apply For Certified Copy Cannot Claim Benefit Of Limitation Period If Delay Is Caused Due To Receipt Of Free Copy Of NCLT Order : NCLAT New Delhi
The National Company Law Appellate Tribunal, Principal Bench, New Delhi, comprising Justice Ashok Bhushan (Chairperson) Barun Mitra (Technical Member) Arun Baroka (Technical Member), held that the litigant who does not apply for the certified copy cannot then fall back and claim that he was awaiting the grant of the free copy to obviate the bar of limitation. The limitation for filing the appeal commences from the date of order is pronounced and litigant has to be vigilant in applying the...